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Hi Ciaran,

Benefit in kind is, unfortunately, not a fixed figure and depends as much on your personal circumstances as it does the particular car. Have a look on the Revenue website to learn more, but you’re going to need an accountant.

As for tax on the vehicle itself, the VRT payable is 13.3 per cent of the purchase price and, taxed as a commercial, it’s €333 a year, but if you’re using it for any sort of social, domestic or pleasure driving then you’ll have to tax it as a private car, and that means €1,200 per year.

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Hi Aidan,

To be honest, the hard part is going to be finding an automatic car that's within your budget. I'd say hold out for a Honda, purely on reliability, but any of the usual Focus-Golf-Astra-Corolla types should be fine as long as you get something with decent history.

Hope that helps

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Hi Susan,

Wow, you're a glutton for punishment aren't you? You pretty much couldn't have picked two less reliable cars. The Discovery is best avoided. If you could afford to trade up to a third-generation model I'd say that's worth a go, as Land Rover was starting to get on top of its quality issues by then, but the old Series II is just bad news. Gearboxes go, electrics go and even the suspension can fail. I know what you mean about falling in love - it's happened to me too with old Land Rovers, but you're looking at a very high-maintenance partner there.

The Espace is a little better, but not by much. The diesel engines are very fragile - check for smoke, check for oil levels and if there are any signs of overheating, run don't walk away. Check anything with an electrical wire coming out the back of it too as it can all go wrong, although the electronic parking brake and electric windows are especially prone to wrongness. Also, keep an eye on the tyres. Espaces go through them like butter and 20,000km is about as much as you'll get out of a set.

If you really want a seven-seater that works properly, can I suggest either a Mitsubishi Pajero or Toyota Land Cruiser? Not as cool as the Discovery, but they won't let you down.

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Hi Jenny,

You almost certainly will find an X3 18d to be a bit underpowered compared to a X3 20d, and especially if you're trading down from a 520d. There's about 40hp and 67Nm between them, which is not to be sniffed at. There is a tax band between them too (the 18d is Band B2, the 20d is Band C), but it's not a massive gap and the 18d won't be as economical as you think simply because you have to work it harder.

Know what? I'd just think about upgrading your 520d instead. Why not get a nice 520d Touring, treat yourself to an M Sport pack and have one of the finest, nicest cars we've ever driven?

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Hi Jay,

Well, that's pretty much all you'll ever see at a taxi rank in Berlin or Munich so draw your own conclusions. Just watch the 2002 - 2010 E-Class like a hawk. They were pretty shoddily built my Merc standards and developed a lot of electrical, braking and transmission problems.

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Hi Alan,

Electric Ireland charges a standard 19.28 cent per kWh as of Jan 20th 2014, according to moneyguideireland.ie. Other suppliers charge more or less the same although there can be a variation of up to 3c per kWh. 

In terms of what is charged to charge an electric car, the energy companies make no distinction. The plug points are downstream of your electricity meter so it's counted as the same juice that goes into your fridge, dishwasher or vacuum cleaner.

The total amount of tax charged on your kWh amounts to about 11 per cent, including both VAT and Carbon Tax, according to Sustainable Energy Ireland. 

So, why is this so much lower in tax terms than the 50-odd per cent levied by various charges on pump fuel? Simple: expediency. On the one hand, the Government must be seen to be encouraging the use and development of electric motoring. On the other, there is currently no simple and reliable way to distinguish between electricity being pumped into your car's batteries and what's being used to light, heat and wash.

That said, you can sadly and safely expect that to change, rapidly, if electric car sales ever take off in a big way. The Government has been very careful and canny about making sure that improving vehicle economy hasn't eroded it's annual €1 billion+ tax take from petrol and diesel sales, so if battery cars start eating significantly into that, expect some form of battery levy or electron tax to be enabled tout suite.

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Hi Ambrose,

Yup, that figure is correct. There was a model year change in 2012 that saw the emissions of the 2.0-litre D-4D diesel engine fall from 135g/km (Band B2) to 120g/km (Band A4). Mind you, the difference in annual motor tax is only €80 so it's not a huge thing. There were some other minor tweaks in terms of equipment between the 2010 model year and the 2012 version, but nothing major - the core of the car is still the same and for the sake of that €80 gap in the tax bill, you may well be able to argue yourself a better deal on the older model.

Hope that helps

Expert answer

Hi Louie,

It depends which Stream you mean. If you mean the Stream sold here in Ireland between 2001 and 2005, then you’re looking at €544 a year. If it’s a more recent Japanese import model then you’ll have to get the CO₂ figure for the specific model that you’re looking at, but as far as I am aware they hover around the 150g/km of CO₂ mark, so will cost €390 a year to tax.

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Hi Vittorio,

Oooh. Aargh. Ummm. God, this is actually a real toughie as I utterly adore both cars and they're both ideal picks. 

OK, I'll lay out the pros and cons and you'll have to make your own mind up from there.

The Octavia will likely prove to be the more reliable in the long term and is much more spacious and practical than the Beemer. The 320d, by contrast, is much sweeter to drive thanks to all the usual BMW rear-drive balance and it does have a nicer interior. 

To be honest though, I'd grab either with both hands and not let go. See which one you can find that's in better condition or is better value.

Let us know what you decide

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Hi David,

That's a little strange. The only tax band that costs €330 per year is the 1,101- to 1,200cc range for pre-2008 cars. Could your car have been classified incorrectly?